Minister Unveils Plans To Transform Mining Sector Into Economic Powerhouse

Nigeria’s Minister of Solid Minerals Development, Dele Alake, has unveiled significant strides made in transforming the country’s mining sector, emphasizing the government’s commitment to building the industry into a cornerstone of the nation’s economy.

Speaking at the 9th edition of the Nigeria Mining Week in Abuja with the theme ‘From the Inside-Out: Building the Mining Sector to Be the Cornerstone of Nigeria’s Economy,’ Dr. Alake said the federal government is committed to uplifting the mining sector into a pillar of national economic growth.

Reflecting on previous initiatives, the Minister highlighted a seven-point agenda established last year aimed at addressing the challenges and untapped potential within Nigeria’s mining industry.

“Central to the renewed positioning of our mineral sector is the creation of a corporate entity that will serve as Nigeria’s face in the international arena. This entity will act as the go-to partner for joint ventures and drive the maximization of legacy brownfields. This initiative is almost ready for unveiling and will be a game-changer for the industry,” Dr Alake stated.

The Minister further said, “Key achievements since last year include the establishment of the Nigerian Mining Corporation, which aims to solidify the country’s position in international mining joint ventures and enhance the management of legacy mining sites.”

He noted the government’s focus on combating illegal mining through the implementation of new enforcement measures, including the formation of the Mining Marshals – a multi-agency security force aimed at regulating the sector.

“To date, over 300 illegal miners have been arrested, underscoring a shift toward strict enforcement.

“Innovative measures such as utilizing satellite technology to monitor mining activities will further bolster efforts against illegal operations,” the Minister explained.

Alongside enforcement, Dr. Alake highlighted the importance of transitioning illegal miners to organised and legal cooperative mining.

“Since last year, 250 cooperatives and 150 new buying centers have been established, reflecting a significant step toward formalizing the industry and generating revenue for the government,” he stated.

Dr. Alake also announced a new licensing rate regime designed to ensure compliance with civic duties, including royalty payments; a necessary step to curb the speculative practices that have historically plagued the sector.

In a bid to enhance the global competitiveness of Nigeria’s mining sector, Dr. Alake highlighted the establishment of a state-of-the-art Centre of Excellence within the Ministry equipped with a Decision Support System that leverages data analytics and Artificial Intelligence.

Furthermore, Nigeria’s Minister of Steel Development, Prince Shuaibu Audu, addressed the alignment of Mining Week with President Tinubu’s economic priorities, which include resource unlocking and industrial diversification.

Audu expressed confidence that the event would yield constructive discussions vital for developing Nigeria’s iron and steel industry.

In a collaborative effort, the Senate Committee Chairman on Solid Minerals, Senator Samson Ekong announced that the Senate is exploring new legislative measures to reform the mining sector.

He stressed the urgent need to address illegal mining operations that harm the environment and drain the nation’s wealth.

Senator Ekong underscored the collaborative spirit between the Senate and the House of Representatives as essential in implementing necessary reforms for the sector’s growth.

House Committee Chairman on Solid Minerals, Jonathan Gbefwi, also called for increased budgetary allocations to the sector for 2025, asserting that unlocking its vast resources is crucial for national prosperity and economic stability.

As Nigeria Mining Week continues, stakeholders from various sectors will engage in discussions aimed at shaping the future of mining in Nigeria, positioning it as a cornerstone of the nation’s economy.